When we’re young, we think of retirement as a time to relax, kick our feet up and enjoy the rewards of life or hard work. Sadly, there is a growing trend of retired seniors forced to deal with increased living expenses and decreased income spending retirement by turning to the protections of bankruptcy.
Why Are More Seniors Turning to Bankruptcy?
Seniors are More Leveraged: Today’s seniors tend to be more leveraged than past generations. As a society, we are living longer, which is fantastic. But it also means that seniors aren’t quite as well financially prepared for retirement as thought. Many are responding to the situation by depending on credit, not realizing how quickly it can spiral out of control.
Decreased Benefits: With so many cuts to essential programs (many of which are aimed at assisting seniors), there is less financial help to go around for our older generation. Decreased benefits mean seniors need more money to come out of pocket each month to cover expenses. More cash expenses lead to a higher rate of bankruptcy filings. The safety nets protecting seniors from financial hardship are getting smaller and smaller, and many feel they have very few options.
Healthcare Costs Are Increasing: While public assistance and benefits are on the decline, healthcare costs are increasing.
If you are a senior and you are struggling to get out of debt or stay out of debt, bankruptcy could be the best solution for your situation. Filing for bankruptcy can remove the burden that comes with high debts and expenses over the household income. The protections of bankruptcy can give seniors the chance to free themselves from debt and live comfortably again.